Treasury

Notification of Contingent Liability

Jeremy Hunt: The independent Monetary Policy Committee (MPC) of the Bank of England (“the Bank”) decided at its meeting ending on 3 February 2022 to reduce the stocks of UK government bonds and sterling non-financial investment-grade corporate bonds held in the Asset Purchase Facility (APF) by ceasing to reinvest maturing securities. The Bank ceased reinvestment of assets in this portfolio in February 2022 and commenced sales of corporate bonds on 28 September 2022, and sales of gilts acquired for monetary policy purposes on 1 November 2022. The sales of corporate bonds ceased on 6 June 2023, with the majority of the portfolio sold. A small number of remaining short maturity corporate bonds were held through to maturity and these have since all fully matured on 5 April 2024. Therefore, the APF is now comprised solely of gilts.The Chancellor at the time agreed a joint approach with the Governor of the Bank of England in an exchange of letters on 3 February 2022 to reduce the maximum authorised size of the APF for asset purchases every six months, as the size of APF holdings reduces.Since 3 November 2023 when I last reduced the maximum authorised size of the APF, the total stock of assets held by the APF for monetary policy purposes has fallen further from £750.9 billion to £704.2 billion. In line with the approach agreed with the Governor, the authorised maximum total size of the APF has therefore been reduced to £704.2 billion, which is now comprised entirely of gilts.The risk control framework previously agreed with the Bank will remain in place, and HM Treasury will continue to monitor risks to public funds from the APF through regular risk oversight meetings and enhanced information sharing with the Bank.There will continue to be an opportunity for HM Treasury to provide views to the MPC on the design of the schemes within the APF, as they affect the Government’s broader economic objectives and may pose risks to the Exchequer.The Government will continue to indemnify the Bank, the APF and its directors from any losses arising out of, or in connection with, the facility. Provision for any payment due under the liability will continue to be sought through the normal supply procedure.A full departmental Minute has been laid in Parliament providing more detail on this contingent liability.

Home Office

HMICFRS Inspection report Part 2: How effective is the National Crime Agency at dealing with corruption?

Tom Tugendhat: The National Crime Agency (NCA) is the national lead agency for tackling serious and organised crime, tasked with reducing the impact it has on the UK, and thereby protect the public from the highest-harm criminals we face. To achieve that it manages intelligence and information that requires the highest levels of security and provides sensitive intelligence and covert tactics to law enforcement from across the whole of the UK. HM Inspectorate for Constabulary and Fire & Rescue Services (HMICFRS) have finalised their 12th inspection of the NCA. They assessed how effectively the NCA is at dealing with corruption, and specifically the NCA’s effectiveness and efficiency in helping and working with police forces and other law enforcement agencies to identify and tackle corruption involving police officers and staff. I have asked HMICFRS to publish the report. It will be published today and will be available online at https://hmicfrs.justiceinspectorates.gov.uk/publications/national-crime-agency-vetting-and-anti-corruption-part-2. I will arrange for a copy to be placed in the Libraries of both Houses. The inspection found the Agency works well with partners to identify and tackle corrupt police officers and staff, the Agency understands the threat posed by corruption to law enforcement, and its Anti-Corruption Unit employ’s effective policies and approaches to tackle corruption. However, it found the intelligence the Agency receives could be improved and it’s ACU could strengthen its approach to identifying and prioritising investigations. I expect the Agency to ensure it has dedicated sufficient resources to meet future demand and has the procedures in place to support law enforcement on the most appropriate and serious cases. The inspectorate also found that a new nationally co-ordinated approach to collating and assessing intelligence relating to corruption in police forces and other law enforcement agencies, may strengthen our understanding of this issue and our collective ability to address it. My officials are considering the feasibility of this suggestion with the NCA and relevant partners. Overall, the inspectorate has made 5 separate recommendations. These are designed to better enable the NCA to effectively support law enforcement address corrupt police officers and staff, an issue that poses a significant threat to fair and effective policing, and ultimately public safety. These changes will enable the NCA to have the intelligence, resources and approaches it requires to robustly address with partners this threat to police forces and wider law enforcement.

Consultation on proposed amendments to PACE Codes of Practice A and C

Chris Philp: The Government is today launching a statutory consultation on revisions to the Police and Criminal Evidence Act 1984 (PACE) Codes of Practice A and C. Strip search involving the exposure of intimate parts is one of the most intrusive powers available to the police. The Government recognises that these powers are needed in order for the police to prevent harm and effectively investigate crime. However, it is vital that these powers are only used where necessary and proportionate, and that any such search is conducted in a fair and respectful manner, without unlawful discrimination, and with full regard for the welfare and dignity of the individual being searched. These considerations are particularly important where the individual being searched is a child or vulnerable person. Findings by the Independent Office for Police Conduct, the Children’s Commissioner for England, and the City and Hackney Safeguarding Children’s Partnership show that too often when strip searches involving the exposure of intimate parts are conducted, safeguarding and child protection have not been sufficiently prioritised. The revisions proposed in this consultation are intended to strengthen the safeguards for children and vulnerable persons who are subject to searches involving the exposure of intimate parts and emphasise the importance of safeguarding, without hindering the police’s ability to keep the public safe. Code A concerns the exercise by police officers of statutory powers to search a person or a vehicle without first making an arrest. Code C concerns the detention, questioning and treatment of persons by police officers. The proposed changes under consultation include the following: A new requirement, that any search of a child or vulnerable person involving the exposure of intimate parts (EIP), conducted under stop and search powers, must be authorised by an officer of at least the rank of inspectorA new requirement for police custody officers to consult an officer of at least the rank of inspector prior to conducting an EIP search of a child or vulnerable person in custodyA requirement that if any time, an officer has reason to suspect that a person may be under 18, in the absence of clear evidence to dispel that suspicion shall be treated as a child for the purpose of the Code and any other Code.A new requirement that police must, where practicable, notify a parent or guardian regarding an EIP search of a child, unless to do so would put the child at risk of harmAn explicit reference to the safeguarding needs of any child who may be subject to an EIP search, and the potentially traumatic impact that the search may have.A new requirement to notify an officer of the rank of at least superintendent following any EIP of a child or vulnerable adult where because of urgency, an appropriate adult was not presentA new requirement that a safeguarding referral must be made whenever a EIP search of a child takes placeA clarification that appropriate adults of the opposite sex can only be present during strip search if known to the detaineeReplicating as far as is relevant in Code A the Code C provisions on the conduct of a strip search, to ensure that provisions on EIP searches in Code A are self-contained.Requiring that where more than outer clothing is removed from a detainee in custody due to concerns for the detainee’s welfare, to preserve evidence, or any other reason set out in Code paragraph 4.2, the appropriate provisions in Annex A shall apply. The consultation will run for six weeks, and the Government will publish its response later this year. The consultation and Codes A and C are being published on GOV.UK.